Turnover of Latvijas Finieris Group up 36% in 2023

May 26, 2023
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In 2022, Latvijas Finieris Group achieved significant growth in turnover and EBITDA. The turnover reached 350 million euro, marking a 36% increase compared to the previous year. Additionally, EBITDA rose by 54% to 55.5 million euro. This success reflects the team's ability to respond swiftly and adaptably to the uncertainties created by the war in Ukraine, which caused disruptions in the energy sector, resource supply chains, and timber product markets. Although some stability has been restored to the supply chains, the future remains uncertain. Thus, the Group's competitiveness will depend on effectively balancing sourcing opportunities with market demand.

Latvijas Finieris primarily exports its birch plywood products to European Economic Area countries, focusing on industries that rely on birch plywood due to its unique physical and mechanical properties.

In 2022, Latvijas Finieris Group employed an average of 2,362 people per month across its companies in Europe and other parts of the world. Of these, 2,066 individuals worked in the Group's Latvian companies. The Group contributed an average of 10,344 euros per employee per year in labor taxes, including social security contributions and personal income tax. Last year, the Group paid a total of 35.3 million euros in taxes, with 24 million euros being paid in Latvia.

To consolidate its leading position in the European birch plywood market and achieve its development strategy goals, the Group has planned investments exceeding 200 million euros in the coming years. Notably, key investment projects initiated last year include the third stage of RSEZ SIA "Verems" development in Rēzekne and the construction of a new synthetic resin plant in Riga as part of the international consortium project VIOBOND. Additionally, smaller yet crucial investments are planned for the veneer plant in Kuldīga, the Zābaki nursery, and the machinery unit, Iekārtu rūpnīca. Moreover, process automation and digitalization efforts are being implemented across all business units of the company.

It's worth mentioning that Latvijas Finieris will continue its support program for Ukraine this year, which amounts to approximately 100 euros per employee per month. Since the start of the war initiated by Russia and Belarus in February 2022, the Group has provided Ukraine with a total of 3.4 million euros in support as of May this year.